On Wednesday, arrest warrants were sent out for the CEO of Terra and five other people. The prosecutors also asked for their passports to be invalidated — except for Nicholas Platias, another Terraform Labs founder, who is not a Korean national.
Local media said on Thursday that South Korea’s Ministry of Foreign Affairs is trying to get Do Kwon, the co-founder of the now-defunct stablecoin provider Terraform Labs, to return his passport.
Do Kwon lives in Singapore with five other people who are also from South Korea. On Wednesday, a South Korean court issued an arrest warrant for them because they broke the Capital Markets Act.
The warrants were given out months after the $40 billion Terra ecosystem broke down, which caused a crypto “bloodbath” and led to the bankruptcy of several companies, including the Singapore-based hedge fund Three Arrows Capital.
The Ministry of Foreign Affairs in South Korea also told the other five people to give back the passports they have. The six people’s passports were revoked after the Seoul Southern District Prosecutor’s Office for Financial and Securities Crimes asked for it, Munhwa said.
Since it usually takes a month for a passport to become invalid, the prosecutors will probably put pressure on the six people to return their passports before that month is up.
The Ministry of Foreign Affairs of South Korea did not answer news correspondence’s request for comment right away.
